Export regulations in the energy and power sector

Regulations, charges or other restrictions may apply to energy and power exports as they leave the UK and when they arrive at their destination country. It is important that you research both sides of the transaction.

First, you need to classify your goods. Use of standardised classification codes in the Integrated Tariff of the United Kingdom (the Tariff) makes it easier to check if any restrictions or charges apply.

Remember that in general it is much simpler to trade with other EU countries than with countries outside the EU. This is because the goods are in free circulation. The EU is a single market and the UK is in a Customs Union, allowing trade with other EU countries without restriction (although some local charges may still apply).

If you export nuclear products, you must comply with strict regulations. Likewise, if you handle any oil or gas products, you’ll also have to comply with certain regulations. For more details, see the guide on oil, gas, refining and petrochemicals.

Export licensing and certification

An export licence is required to export specified goods with military uses. The list of goods requiring a licence does not include any energy or power products, although you may require a licence for goods with a potential military use, eg components for use in nuclear production. In addition, similar licensing rules apply when brokering the sale of certain Dual-Use Goods that could be used for military purposes and in particular for weapons of mass destruction. For more information, you can see the page on export licences for military and Dual-Use Goods in the guide on aerospace and defence.

Products that have a civil and military application are defined as ‘dual-use’. The Community General Export Authorisation governs some of these products to certain countries. See the guide on controls on Dual-Use Goods.

Export restrictions

If you intend to export certain types of sensitive nuclear equipment, some of these may appear on what is called the ‘trigger list’. The Export Control Organisation (ECO) assesses these applications and sets out the important factors to bear in mind when you apply for a licence. To find information about the trigger list, see the guide the export of nuclear equipment, material and technology - ‘Trigger List’ requirements. For detailed information on the various aspects of controlled goods, see the guides on the Export Control Organisation and key licensing guidance.

You can subscribe to receive ECO Notices to Exporters by email. To apply, email the ECO at web.comments@bis.gsi.gov.uk - and include your name, your company or organisation name, email address and telephone number.

Health, safety and environment

Health and safety is of great importance when you’re handling any kind of nuclear-related products. In the UK, nuclear safety issues are the responsibility of the HSE. The Nuclear Installations Inspectorate is part of the HSE and regulates nuclear safety. Read an overview of nuclear health and safety on the HSE website.

The HSE also governs the import of certain carcinogenic substances - including goat hair and other types of animal hair which may, for example, carry anthrax - by prohibiting or placing conditions on import from certain countries.

If you keep, use, accumulate and/or dispose of radioactive substances, you are likely to need an environmental permit.

Special requirements also apply to the transportation of nuclear materials. If you have an enquiry related to such movement, you can call the OCNS Transport Security Inspectorate on Tel 01235 432952.

When carrying out your research - whether online or via print resources, you will want to check whether there are:

bans or restrictions on your products

import or export licensing restrictions

rates of duty payable when your goods enter your export market

special handling, labelling and/or transportation requirements along the supply chain

You should also consider product safety and other technical standards in your export market. Your goods may need to be adapted to comply with these. Rules in your export market may be less or more strict than in the UK.

For an overview of market information on sectors and countries, see the guide on researching and entering overseas markets.

You can ask for information about your export destination country from a range of organisations, including:

your local UKTI trade team

your UKTI team within the commercial section of the UK embassy in your destination country

Tariffs and duties in the energy and power sector

All businesses in this sector must comply with a range of import-specific regulations. The key issues relate to the Tariff, duties, Intrastat and intellectual property (IP).

Using the Integrated Tariff

A common customs tariff is applied across all EU countries on goods imported from outside the EU. Details of specific tariff duties and measures are contained in the Integrated Tariff of the United Kingdom.

Intrastat

If you are VAT registered and the goods you acquire from or supply to VAT-registered businesses in other EU countries reach the Intrastat exemption threshold for the year, you must submit monthly supplementary declarations to HMRC. The thresholds are £600,000 for Arrivals and £250,000 for Dispatches.

If you import from outside the EU, you may have to comply with import licensing requirements and with common customs tariffs that apply across the EU. For more information, see the guide on importing your goods from outside the EU.

Import licences

Import restrictions can be product-specific or trade-specific. Many products are subject to product-specific standards and need to be supported by applicable certificates, product-specific licences and documentation.

Quite separately, quantitative restrictions or limitations and anti-dumping duties may apply to certain imported goods. For more information, see the guide on anti-dumping and countervailing duties.

Trade associations and other bodies

The Office of Gas and Electricity Markets (Ofgem) is the regulator for Britain’s gas and electricity industries. The price your business pays for electricity is governed by price control administered by Ofgem.